Olive Garden investor: Back off on the breadsticks

[LynneSin]

Olive Garden investor: Back off on the breadsticks

NEW YORK (AP) - Maybe there is such a thing as too many breadsticks.

In a nearly 300-page treatise on what's wrong with Olive Garden and its management, investor Starboard Value suggests the Italian restaurant chain is being reckless with its unlimited breadsticks. The hedge fund notes the chain's official policy is to bring out one breadstick per customer at a time, plus an extra for the table.

But Starboard says servers bring out more than that, leading to waste - and cold breadsticks. Starboard notes that it isn't pushing for an end to unlimited breadsticks, just more control in how they're doled out.

"Darden management readily admits that after sitting just 7 minutes, the breadsticks deteriorate in quality," Starboard said in its presentation.

The incredibly detailed document was released Thursday and lays out how Olive Garden could improve its performance. It's part of Starboard's push to take control of the board of the chain's parent company, Darden Restaurants Inc.


Read more at http://www.philly.com/philly/business/20140912_ap_7400f6c3cce04d68bd181fa38b2b6b2f.html#Mrl6emR8t54QzHK0.99

I was at an Olive Garden about 18 months ago, not my choice but the daughter of a friend wanted to go there. Horrible food but I always remembered how much I loved the breadsticks. But those breadsticks that night were nasty - like they were baked with Garlic Salt on them and I could barely stomach one of them.

[liberal N proud]

1. Last time I was at Olive Garden - we got 3 breadsticks for two people

That was just the second in a pair of disappointing experiences as Olive Garden (different locations).

Probably will be a while before I set foot in one again.

[KamaAina]

2. Breadsticks? How about they back off on the breastfeeding?

And the smoking? And the pit bulls?

[sakabatou]

3. But you say unlimited!

[Chan790]

4. They'd do more good to concentrate on serving better entrees.

I doubt many people with good sense choose OG for the unlimited meal-incidentals like soup, salad and breadsticks. More people would choose OG I suspect if they instead focused on what in training food-service leaders is often referred to as the Starbucks principle. (It's equally true of Dunkin, as well. For that matter, Chipotle...it's good model for quick quality food in any segment.)

Is Starbucks the greatest coffeehouse? No, but it's a consistently good one and that consistency and quality is their stock in trade. No matter where I am, I know I can go to Starbucks and order my fancy coffee beverage, get it how I want it, and know exactly what I'm getting. It's not the fanciest coffeehouse, but it's acceptably up-scale that it doesn't feel like fast food coffee. The high-quality assembly-line nature of their food/drink offerings allows both exceptional quality and infinite customization.

That's what OG should and could shoot for...to be the Starbucks/Dunkin/Chipotle of Italian food. Where-ever you are, there's an Olive Garden and I can get my entree how I want it, fast, with what I want on/in it.

F**k unlimited breadsticks. I'd rather be able to get a upper-mid-quality fresh ricotta ravioli served with the on-premises-made sauce of my choice (out of, I don't know, four sauces?) and 2 sausages at a $1.50 markup each. Yeah, that's me: Cheese ravioli with Alfredo sauce and 2 hot sausage. (Not really. I'm a vegetarian, but it makes a good example.) My dining companion will be a Chicken Parmesan with the Penne Marinara. 2 Cokes. $30 dinner tab. What you lose on higher tickets, you make up on volume, speed and consistency leading to repeat sales--it positions you as the place where I can get a fast high-quality Italian meal.

[LynneSin]

5. I'd almost buy into your theory except this...

I haven't had a decent cup of coffee at Starbucks in at least 2 years. Last cup I had (about 3 weeks ago) I dumped outside of my car it tasted like it was so overly burnt and they forgot to rinse the suds out of the coffee pot. Yes I can find a Starbucks in just about every city in the country but luckily I can find a local coffee joint in every city too.

However the rest of it is correct and you are right. Why should I go to Olive Garden when there are so many other great Italian experiences with better quality foods out there. And I hate to say it - there are prices out there compatible with Olive Garden these days. Here in Wilmington we have Mrs Robino's which has been been around since the 1940s - they still have a photo of Joe Biden with the owner hanging on the wall probably taken back with Joe Biden's original hair color and hair! I could go there tonight and get a great dish of pasta with a salad and glass of cheap red wine for the same price if not better than Olive Garden and the taste is way better than OG because it's more authentic.

[madinmaryland]

7. A couple of interesting comments. When I was working in The City (NYC) years ago, I would buy my

coffee from the street vendors at 50 cents a cup. Sometimes I would get a bagel for another 75 cents. Now, when I am traveling, I will have my coffee mug with me and fill it up at the local Speedway (gas station) for 99 cents.

When we were Maryland, we always enjoyed Mamma Luccia's for pasta dinners and Phillies' Best for pizza. Bet you never thought you would hear me say that I enjoyed something named "Phillies" did you!!

Oh, and food SUCKS in Dayton. Except for the Pine Club, everything is average at best or just plain sucks.

[madinmaryland]

6. How was your trip to Mid-town Manhattan??

[BlueJazz]

8. I quit going to Olive Garden for one reason: They're very chintzy with the meat.

I used to go. Would get spaghetti/meatballs. Tasted wonderful.
Then they started adding "filler" to their meat. LOTS of filler...so it tasted like corn meal. Yuck!

[MrScorpio]

9. Olive Garden is "Italian?"

Are the Italians aware of this? If so, why haven't they declared war on the US yet?

[LynneSin]

10. Still waiting for the Mexicans to declare war on us because of Chili's

That is slop for Mexican food.

[ohnoyoudidnt]

13. Olive Garden IS Italian food!

Just like Taco Bell is Mexican food.

[Baitball Blogger]

11. You can have the breadsticks.

I would go there for the mini desserts.

http://www.olivegarden.com/menu/dolcini-25-mini-desserts/prod81971

[OriginalGeek]

15. The greatest tragedy in central florida Italian food

was the day Roma Ristorante closed. (It was on 441 right before it merged with 436 going into Apopka) My grandparents took me there when i visited them during summer vacation. I had my wedding rehearsal dinner and my 25th anniversary dinner there. And many dinners in between. I got Fettucini Bruzzi every single time. I cried when I drove by a couple years ago and saw it was an eye doctor place.

The couple that owned it for 40+ years just got tired of working and had enough saved to retire and sold the building. I guess the kids weren't interested in continuing it.

[R B Garr]

12. Their cannolis taste like they're stuffed with Phillips Milk of Magnesia.

Okay, maybe not that bad, but they were noticeably bad. Horrible even. How can you mess up a cannoli.

That was many years ago, but I stayed away from that place after that first try. It was also someone's children that wanted to go there one night, and I tried it again. The salad and breadsticks were better than I remembered. It seemed better overall than my first impression. Now they're going to take what they're famous for (salad and breadsticks...?) and take away the breadsticks. Good luck with that one.

[Fridays Child]

14. They might want to pay a little attention to cleanliness, as well.

The last time I ate there...dirty walls, table, silverware. Ugh. It used to be an okay, if not terribly authentic, Italian restaurant. It's been a couple of years and I won't ever go back. Unsanitary conditions are a deal breaker.